[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR904.303]



[Page 340]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 

               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 904_LOW RENT HOUSING HOMEOWNERSHIP OPPORTUNITIES--Table of Contents

 

                 Subpart D_Homebuyers Association (HBA)

 

Sec.  904.303  Organizing the HBA.



    (a) The HBA should be organized and incorporated as early in the 

life of the development as is feasible, in order to allow selected 

homebuyers an opportunity to meet each other and begin forging a sense 

of community, but in any case the HBA shall be organized and 

incorporated no later than the date on which 50 percent of the 

homebuyers have been selected. Interim officers and directors shall be 

designated as part of the initial organization of the HBA to serve until 

full-term officers and directors are elected. Such full-term officers 

and directors shall be elected when 60 percent of the homebuyers are in 

occupancy, but, in any event, not later than one year from the date the 

first home is occupied.

    (b) The LHA, in cooperation with the CPC, if any, shall be 

responsible for assuring that competent counseling and training 

assistance pursuant to Subpart C of this part will be provided in 

organizing the HBA. These services shall be continued until the HBA is 

fully operational.

    (c) The provision of such services shall include at least the 

following functions:

    (1) Assembling homebuyers for initial orientation and planning;

    (2) Explaining to homebuyers the structure and functions of an HBA 

and the rights and responsibilities of the HBA and the LHA;

    (3) Aiding in the preparation of charters, by-laws, contracts with 

the LHA and other appropriate documents;

    (4) Assisting in the formation of the organization, including such 

things as the initial designation of interim officers and directors and 

subsequent election of full-term HBA officers and directors, and the 

establishment of necessary committees, if any.

    (d) The LHA and the HBA shall execute an agreement recognizing the 

HBA as the official representative of the homebuyers, and establishing 

the functions, rights, and responsibilities of both parties (see 

Appendix II). This agreement shall be executed as soon as possible after 

incorporation of the HBA.